Blackstone Real Estate Fund Closes on €3.1 Billion

LONDON--(Business Wire)--
The Blackstone Group (NYSE:BX) today announces the final closing of its latest
real estate fund, Blackstone Real Estate Partners Europe III ("BREP Europe
III").

The closing brings to the fund total equity capital commitments of over €3.1
billion. The initial intended target was €2.5 billion. The fund will target
property investments throughout Europe and is composed of commitments from a
diversified group of limited partners from around the world.

Chad Pike, Senior Managing Director and Co-Head of Blackstone Real Estate said:
"We are very pleased to have received this further vote of confidence from both
existing and new Blackstone investors. BREP Europe III is well positioned to
take advantage of the inevitable recapitalization of the property sector. Given
the continued deterioration in the global economy and the lagging nature of the
real estate market, we will remain disciplined and cautious in deploying this
capital over the coming years."

Since The Blackstone Group started its real estate investment business in 1997,
the firm has raised a total of over $28bn.

The Blackstone Group was assisted in its fund-raising by The Park Hill Group, a
Blackstone affiliate.

About Blackstone Real Estate

In 1992, Blackstone formed its Real Estate Group, which closed its first fund
with $338 million. Today, our Real Estate business has AUM of approximately $23
billion and is the largest owner, operator and franchisor of hotels in the
world, with approximately 3,800 individual properties and around 615,000 rooms
in total. Our hotel brands cover all segments of the industry, ranging from
limited service to super-luxury. We have also become one of the largest owners
of office buildings in the U.S., with approximately 52m sq. ft. of office space.
Additional holdings also include retail properties, distribution and warehousing
facilities and a variety of real estate operating companies.

In 2007 Blackstone established Blackstone Real Estate Special Situations
Advisors (BSSF) to target global non-controlling debt and equity investment
opportunities in the public and private markets. Its investment portfolio is
expected to consist of a variety of real estate-related securities, including
mezzanine debt, publicly traded debt securities, whole loans, preferred equity,
bridge equity, publicly traded equity securities and joint venture equity

About The Blackstone Group

Blackstone is one of the world`s leading investment and advisory firms. We seek
to create positive economic impact and long-term value for our investors, the
companies we invest in, the companies we advise and the broader global economy.
We do this through the commitment of our extraordinary people and flexible
capital. Our alternative asset management businesses include the management of
corporate private equity funds, real estate funds, funds of hedge funds,
credit-oriented funds, collateralized loan obligation vehicles (CLOs) and
closed-end mutual funds. The Blackstone Group also provides various financial
advisory services, including mergers and acquisitions advisory, restructuring
and reorganization advisory and fund placement services. Further information is
available at www.blackstone.com.

The Blackstone Group, New York
Peter Rose, +1 212 583 5871
rose@blackstone.com
or
The Blackstone Group, London
Helen Winning, +44 (0)20 7451 4344
winning@blackstone.com

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